0
If the bank gave you a home equity loan and now the property value is less than the combined owed on the 2 loans and you sell the property and there is not enough money to go around can they come af?
Wiki User
∙ 15y ago
Absolutely. You should not have sold the property under that condition. If you cannot pay the loans, the only way out of the debts is to declare bankruptcy.
Wiki User
∙ 15y ago
Add your answer:
Earn +20 pts
How does a person qualify for a second mortgage?
If they have enough equity in the property and have enough income to take on more debt.If they have enough equity in the property and have enough income to take on more debt.If they have enough equity in the property and have enough income to take on more debt.If they have enough equity in the property and have enough income to take on more debt.
Can you get a home equity line of credit to buy a home?
No. You must apply for a purchase money mortgage if you do not already own any home. If you already own a property and have enough equity in that property, you can take a home equity loan on that property and use those proceeds to purchase another property.No. You must apply for a purchase money mortgage if you do not already own any home. If you already own a property and have enough equity in that property, you can take a home equity loan on that property and use those proceeds to purchase another property.No. You must apply for a purchase money mortgage if you do not already own any home. If you already own a property and have enough equity in that property, you can take a home equity loan on that property and use those proceeds to purchase another property.No. You must apply for a purchase money mortgage if you do not already own any home. If you already own a property and have enough equity in that property, you can take a home equity loan on that property and use those proceeds to purchase another property.
Why would the second lien holder foreclose?
It's simple. The second lien holder will foreclose if you don't pay that debt and it thinks there is enough equity in the property to take possession subject to the first lien.It's simple. The second lien holder will foreclose if you don't pay that debt and it thinks there is enough equity in the property to take possession subject to the first lien.It's simple. The second lien holder will foreclose if you don't pay that debt and it thinks there is enough equity in the property to take possession subject to the first lien.It's simple. The second lien holder will foreclose if you don't pay that debt and it thinks there is enough equity in the property to take possession subject to the first lien.
How do you calculate equity in the property?
Equity is calculated by subtracting the amount still owed on the mortgage loans from the fair market value of the property.
What does it mean when a foreclosed property reads that the property owner sold property to the bank for 1000?
That means that the owner had some equity in the property. The bank agreed to give them some of that equity for a clear title.
What is equity investment in real estate?
An equity investment, on the other hand, represents a residual interest in the property. When you are an equity investor, you are essentially the owner of the property. You stand to gain a lot when the property value increases or if you are able to get more rent for your building.
Do you have to be the owner of the home to get a home equity loan?
AnswerYes. Only the owner of the property can legally sign it over as collateral for a loan. The owner owns the equity in the property.
How is housing equity calculated?
Equity is current market value of the property minus debt (what is owed on the property). For example, if your property is worth %500,000 and your balance in your mortgage is $400,000, your equity is $100,000. If you have any more questions you can ask a real estate agent, loan officer, or an appraiser.
Can you get a home equity loan on your rental property?
If you are renting the property from someone else and do not own it, no, because a home equity loan is like a mortgage. The lender has a lien on the property if you default on the loan. If you are the owner of a property and rent it out, yes you should be able to get a loan with the property as security.
How long do you have to have your new home loan before you can get a line of credit?
As soon as you have enough equity in the home to do so. As soon as you have enough equity
What are the benefits of Home Equity?
Home equity is the value of a homeowner's property minus all the money they owe on that property (as mortgage or liens). The benefit of home equity is that a person can borrow against the equity in their home at better interest rates and with better tax advantages then other types of loans.
Who pays your home equity loan when you die?
Your estate is responsible. If the equity mortgage is not paid the bank will foreclose on the property.
